Europe Data Center Cooling Market Report (2021-2031) by Scope, Segmentation, Dynamics, and Competitive Analysis.

The Europe data center cooling market size is expected to reach US$ 12,922.91 million by 2031 from US$ 3,639.56 million in 2023. The market is estimated to record a CAGR of 17.2% from 2023 to 2031.

Executive Summary and Europe Data Center Cooling Market Analysis:

The data center cooling market growth in Europe is underscored by the innovative approaches adopted by companies such as OVHcloud, a prominent European cloud provider. OVHcloud has been at the forefront of sustainable and energy-efficient data center cooling for over 20 years, leveraging its proprietary liquid-cooled servers to pioneer a sustainable approach to cooling in its 34 data centers globally, which collectively house over 450,000 servers. This commitment to energy efficiency and environmental preservation aligns with the increasing demand for advanced cooling technologies in data centers across Europe, contributing to the substantial projected growth of the European data center cooling market. OVHcloud's commitment to sustainability and energy efficiency, coupled with its significant presence in the European cloud market, exemplifies the pivotal role it plays in driving the market growth in Europe. The company's innovative approach to cooling, combined with its extensive global infrastructure, positions it as a key contributor to the evolving data center cooling market landscape in Europe.

In March 2024, DATA4 enters into a partnership with OVHCLOUD. The collaboration between OVHcloud and Data4 emphasizes the emphasis on sustainable cooling solutions in Europe. This partnership aims to host OVHcloud's unique liquid cooling solution, highlighting the industry's focus on the efficient cooling of data centers and the importance of sustainable practices in the region.

Europe Data Center Cooling Market Strategic Insights

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Europe Data Center Cooling Market Segmentation Analysis

Key segments that contributed to the derivation of the Europe data center cooling market analysis are component, cooling type, data center type, and industry vertical.

• Based on component, the Europe data center cooling market is segmented into air conditioning system, chillers, air handling units, cooling towers, heat exchangers, humidifiers, and others. The air conditioning system held the largest share of the market in 2023.
• Based on cooling type, the Europe data center cooling market is segmented into room based cooling, row based cooling, and rack based cooling. The row based cooling held the largest share of the market in 2023.
• Based on data center type, the Europe data center cooling market is segmented into hyperscale data center, colocation data center, wholesale data center, and enterprise data center. The hyperscale data center held the largest share of the market in 2023.
• Based on industry vertical, the Europe data center cooling market is segmented into IT and telecom, BFSI, healthcare, manufacturing, government and defense, media and entertainment, retail, energy, and others. The IT and telecom held the largest share of the market in 2023.

Europe Data Center Cooling Market Outlook

Various industries are incorporating AI and machine learning to enhance customer experience, bolster cybersecurity measures, and revolutionize their business processes. The deployment of these technologies and the optimization of their value necessitate robust infrastructure capable of handling increasingly complex workloads. The compute-intensive nature of AI model training has driven the evolution of hardware to meet the escalating demands of AI and other advanced applications. For instance, in April 2024, Lenovo announced a comprehensive new suite of purpose-built AI-centric infrastructure systems and solutions to advance Hybrid AI Innovation from edge to cloud. Lenovo is delivering GPU-rich and thermally efficient solutions intended for compute-intensive workloads across multiple environments and industries. In the financial services and healthcare industries, customers are managing massive data sets that require extreme I/O bandwidth, and Lenovo is providing the IT infrastructure solutions vital to the management of critical data. Across all these solutions is Lenovo TruScale, which provides the ultimate flexibility, scale, and support for customers to on-ramp demanding AI workloads completely as a service. In March 2024, NVIDIA announced the launch of NVIDIA Blackwell GPU architecture. The Blackwell GPU architecture is the world's most powerful chip, packed with 208 billion transistors. It is manufactured using a custom-built 4NP TSMC process with two-reticle limit GPU dies connected by 10 TB/second chip-to-chip link into a single, unified GPU. When electricity passes through a semiconductor, it creates heat. The more powerful the chip, the higher the heat released, which necessitates the need for cooling solutions in data centers.

The exponential growth in the volume of data owned by organizations has highlighted the need for progressively powerful tools and technologies to transform this data into actionable insights that boost tangible business outcomes. Over the years, computing hardware has continuously evolved to augment computing capacity, laying the foundation for the current era of high-performance computing. This evolution in computing hardware reflects a proactive response to the escalating demands of data processing, analytics, and transformative technologies. As enterprises continue to harness the potential of AI and machine learning, the ongoing evolution of computing hardware plays a pivotal role in enabling the efficient processing and utilization of vast amounts of data, thereby empowering organizations to make informed decisions and analyze data assets. The heightened computing capacity and demands for hardware have resulted in increased power consumption and heat generation. As a result, rising data center temperatures, attributed to the use of higher-density hardware, have highlighted the significance of liquid cooling as a crucial technology for mitigating these thermal challenges. Thus, the increasing demand for compute-intensive workloads drives the data center cooling market.

Europe Data Center Cooling Market Country Insights

Based on country, the Europe data center cooling market comprises the UK, Germany, France, the Netherlands, Italy, Russia, and the Rest of Europe. The UK held the largest share in 2023.

Mercury Engineering has played a significant role in the development of data center facilities in the UK, including notable projects such as Equinix's LD10 Data Center in London. In October 2023, CGG announced the inauguration of its latest UK HPC (High-Performance Computing) Hub in Southeast England. With an initial capacity of 100 petaflops, this establishment contributes to CGG's global aggregate, which now stands at an industry-leading 500 petaflops. The UK HPC Hub capitalizes on CGG's extensive experience and advancements in efficient, industrial HPC design and operations tailored to the energy sector. This cutting-edge facility boasts a highly optimized environment, incorporating CGG's exclusive immersion cooling infrastructure. Furthermore, the hub is entirely powered by renewable energy sources, underscoring the company's steadfast commitment to meeting the escalating demands of sophisticated scientific and AI applications sustainably. Such instances highlight the active involvement of industry players in expanding the country's data center cooling market.

Europe Data Center Cooling Market Report Highlights

Europe Data Center Cooling Market Company Profiles

Some of the key players operating in the market Asetek, Inc; Mitsubishi Corp; Stulz SpA; Vertiv Group Corp.; Aspen Systems, LLC.; Daikin Industries Ltd; Delta Electronics Inc; Danfoss AS; Motivair Corporation; Madison Industries; Fujitsu Ltd; Rittal GmbH & Co KG; Schneider Electric SE; Trane Technologies Plc; Black Box Corporation; Carrier Global Corp; Alfa Laval AB; Hewlett Packard Enterprise Development LP; Boyd Corp; and Evapco Inc, among others. These players are adopting various strategies such as expansion, product innovation, and mergers and acquisitions to provide innovative products to their consumers and increase their market share.

Europe Data Center Cooling Market Research Methodology :

The following methodology has been followed for the collection and analysis of data presented in this report:

• Secondary Research

The research process begins with comprehensive secondary research, utilizing both internal and external sources to gather qualitative and quantitative data for each market. Commonly referenced secondary research sources include, but are not limited to:

• Company websites, annual reports, financial statements, broker analyses, and investor presentations.
• Industry trade journals and other relevant publications.
• Government documents, statistical databases, and market reports.
• News articles, press releases, and webcasts specific to companies operating in the market.

Note: All financial data included in the Company Profiles section has been standardized to USD. For companies reporting in other currencies, figures have been converted to USD using the relevant exchange rates for the corresponding year.

• Primary Research

The Insight Partners conducts a significant number of primary interviews each year with industry stakeholders and experts to validate its data analysis and gain valuable insights. These research interviews are designed to:

• Validate and refine findings from secondary research.
• Enhance the expertise and market understanding of the analysis team.
• Gain insights into market size, trends, growth patterns, competitive dynamics, and future prospects.

Primary research is conducted via email interactions and telephone interviews, encompassing various markets, categories, segments, and sub-segments across different regions. Participants typically include:

• Industry stakeholders: Vice Presidents, business development managers, market intelligence managers, and national sales managers
• External experts: Valuation specialists, research analysts, and key opinion leaders with industry-specific expertise

Europe Data Center Cooling Market Country and Regional Insights